BEL, Waaree, Dixon Tech, Coforge, SBI, Tata Steel, Infosys shares among top MOFSL picks post Q4 results

Even as March was the eighth successive quarter of single-digit profit growth for Nifty firms, MOFSL on Monday said earnings came in better than its expectations. The domestic brokerage, however, felt forward earnings revisions continued to exhibit weakness. From the Nifty pack, the brokerage said, Bharti Airtel Ltd, State Bank of India (SBI), ICICI Bank Ltd, Mahindra & Mahindra (M&M), Titan Company Ltd and Bharat Electronics Ltd (BEL) remained its top picks. Eternal Ltd, Tata Steel, Infosys, and Interglobe Aviation are its other picks from the Nifty pack. 

Among non-Nifty stock ideas, the brokerage prefers Dixon Technologies (India) Ltd, Waaree Energies Ltd, Coforge Ltd, Billionbrains Garage Ventures (Groww). TVS Motor Company Ltd, ICICI PRU AMC, Indian Hotels, AU Small Finance, Lenskart, Radico Khaitan and Delhivery are its other top non-Nifty picks.

MOFSL said following India’s sharp underperformance in FY26 and record FII outflows, a favorable base has likely been set for Indian equities. However, in the near term, it believes the market will remain hostage to volatile developments arising from the West Asian crisis. 

"Higher commodity prices will be the key monitorables, as a prolonged elevated level could affect India’s macro parameters and engender a tight monetary policy stance. Our model portfolio broadly reflects our preference for growth visibility, structural domestic growth plays, and select global value names," the broekrage said.

MOFSL said this is a bottom-up market, despite India witnessing both time and price corrections relative to EM peers. 

"Our key OW sectors are Autos, PSU Banks, Diversified Financials, Manufacturing & Industrials, Consumer Discretionary, and New-age platforms. In contrast, we are UW on Oil & Gas, Private Banks, Metals, Consumer Staples, IT, and Commodities/Utilities," it said," it said.

From the Nifty pack, five Nifty companies namely Bharti Airtel, JSW Steel, HDFC Bank, Infosys, and TCS contributed 75 per cent of the incremental YoY accretion in earnings in Q4. On the flip side, Reliance Industries (RIL), Interglobe Aviation (IndiGo), Adani Enterprises, Power Grid, Dr Reddy's, Cipla, Tata Motors PV, Sun Pharma, and Maruti Suzuki India dragged down index earnings. 

Within the Nifty, 15 companies reported lower-than-expected profits, while 18 posted a beat, and 17 registered in-line results. Overall, the brokerage has cut its FY27 Nifty earnings per share estimate by 0.9 per cent to Rs 1,235 from Rs 1,246,  led by SBI, Reliance Industries, JSW Steel, ONGC, and Coal India.